Mandatory Regulation 17 timelines under Customs Brokers Licensing Regulations invalidated delayed notice and inquiry proceedings.
Timelines under Regulation 17 of the Customs Brokers Licensing Regulations, 2018 were treated as mandatory, so delay in issuing the show cause notice after the offence report and delay in completing the inquiry vitiated the disciplinary process. The Madras HC followed the view that these periods form part of the regulatory scheme and must be strictly complied with. Because the notice and inquiry report were both issued beyond the prescribed limits, the proceedings were found time-barred and unsustainable, and the writ petition succeeded with the consequential actions set aside.
Issues: Whether the show cause notice and the inquiry report were liable to be quashed for having been issued beyond the timelines prescribed under Regulation 17 of the Customs Brokers Licensing Regulations, 2018.
Analysis: The prescribed period of ninety days for issuance of the notice after receipt of the offence report, and the stipulated period for completion of the inquiry, were treated as mandatory. The Court followed the binding view that these timelines are integral to the regulatory scheme and that failure to comply with them vitiates the proceedings. Since the notice was issued long after the offence report and the inquiry report was also delayed beyond the prescribed period, the challenge succeeded on the ground of non-adherence to the statutory schedule.
Conclusion: The impugned show cause notice and the inquiry report were quashed as being time-barred and unsustainable, in favour of the petitioner.
Final Conclusion: The writ petition was allowed and the consequential proceedings arising from the delayed initiation and completion of the customs broker disciplinary process were set aside.
Ratio Decidendi: The timelines prescribed under Regulation 17 of the Customs Brokers Licensing Regulations, 2018 are mandatory, and breach of those timelines invalidates the notice and the ensuing inquiry proceedings.
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